THE CAROLINA WATCHMAN, SALISBURY, N. 0.
GREAT POW
WAR TRADE
EXECUTIVE ORDER CREATE8
BODY TO -ENFORCE TRADING
WITH ENEMY ACT.
VANCE M'COtflGK CHAIRMAN
New Law Fobids Trading With Enemy
Company or Agent at Home or
Abroad Without License Foreign
Language Papers Get Attention.
Washington. Broad war powers
conferred upon the president by the
trading with the enemy act were put
into operation under an executive or
der delegating the authority under the
law to various government depart
ments and to a newly created war
trade board.
The trade board is composed of the
members of the exports administrative
"board which it will replace, .with the
addition of a representative of the
treasury department. It will continue
to license exports and will exercise
. similar control over imports as soon
as the president proclaims under au
thority of the trading with the enemy
act the articles to be restricted. Trad
ing or commercial dealings of any na
ture with an enemy company or agent
In this country or abroad is forbid
den, except under license of the war
.trade, board, which also is authorized
to license enemy or "ally of enemy"
companies doing business in the Uni
ted States excepting insurance com
panies, whose supervision is entrust
ed to the treasury,
. May Censor Mails.
Censorship of mails, cables, radio
and telegraph messages passing out
of the United States is placed in the
bands of a censorship board consisting
of representatives of the war, navy
and postoffice department, the war
trade board and of George Creel, chair
man of the committee on public infor
mation. To the treasfury Ts assigned the reg
ulation of transaction in foreign ex
change and exportation of gold or sil
ver coin under license and enforce
ment of the law's provision against
transmission to the enemy of informa
tion by any other means than regular
mails. The treasury also must license
insurance or reinsurance companies
of, the enemy or ally of the enemy do
.ing business within the United
States.
Regulation of the use of the enemy
owned or controlled patents for the
war, and of the granting or publica
tion of patents containing information
valuable to the enemy is given to the
federal trade commission.
Foreign Language Newspapers. .
The postmaster general is entrusted
with supervisipn over and the licens
ing of foreign language newspapers.
In anticipation of this authority Post
master Burleson has been receiving
applications for licenses and will begin
issuing them before Tuesday, October
16, the date the provision of the law
becomes effective. All such papers,
except those granted licenses, are re
quired under penalty to file with their
local postmasters before publication
true translations of all matters relat
ing to the United State's government or
the governmnt of any other nation
at war. The same section of the law
makes it unlawful to circulate in any
manner matter made unmailable by
the espionage act.
The president's order defines the
powers of the alien property custo
dian to act as trustee for all enemy
to issuo. licenses exempting enemy
property within the United States or
companies from his supervision. An
onnnintmont frvr fViio Tkrvsitlfvn will Vlfi
made soon.
The secretary of state is empowered
to license the transportation of ene
mies to or from the United States
through the existing passport means.
The secretary of commerce will retain
his present authority to review the de
cisions of customs collectors refusing
clearances to vessels carrying car
goes in violation of the trading with
the enemy act.
Personnel of Board.
The new, war trade board is to con
sist of Vance C. McCormick, chairman,
representing the secretary of state;
Dr. Alonzo E. Taylor, representing the
secretary of agriculture; Thomas D.
Jones, representing the secretary of
commerce; Beaver White, represent
ing the food administrator; Frank C.
Munson, representing the shipping
boad, and a representative of the sec
retary of the treasury yet to be named.
The name of the present exports
council is changed to war trade coun
cil with the secretary of the treasury
ana cnarrman tiurisy ui une smyyms
board added to its membership, the
secretaries of state, agriculture, and
commerce and the food administrator.
DEATH OF TWO U. S.
SOLDIERS IS
REPORTED
Washington. Privates Charles P.
Hammond, Jr., field artillery and Ray
mond B. Nye, medical department with
the expeditionary forces in France,
have died, from natural causes the
war department was advised by Gen.
Pershing. Hammond's next of kin is
his father, Charles F. Hammond, 11
Kerwin street, Dorchester, Mass., and
that of Nye is J. B. Nye, 124 Beulah
street, Whitman. Mass
BOARD
This body will act inansulvsory ca
pacity to the president andHhe war
trade board. -X
The president's order vests in the
war trade board power to license trade
"directly or indirectly with, to or
from or for, or on account of, or on
behalf of, or for the benefit of, any
other person, with knowledge or
reasonable cause to believe that such
other person is an enemy or ally of
enemy, or is conducting or taking part
in such trade directly or indirectly for,
or on account of, or on behalf of, or
for the benefit of, any enemy or ally
of enemy." Only 'with consent of the
board may agents of enemy compa
nies do business in the United States
after November 5. Enemy companies
also may not change names they used
at the beginning of th war without
special license.
Affects Financial Transactions.
Secretary McAdoo is vested by the
president with and is expected to turn
oyer to the federal reserve board "the
executive - administration of any in
vestigation, regulation or prohbtiion
of any transaction in foreign exchange,
export or earmarking of gold or sil
ver coin, or bullion or currency . trans
fers of credit in any form( other than
credits relating solely to transactions
to be executed wholly withi the
United States) and transfer of evi
dence of indebtedness or of ownership
of property between the United States
and any foreign, country, or between
the residents o fone or more foreign
countries, by any person with the
United States." The reserve board al
ready exercises virtual control over
gold and silver exports.
The secretary of the treasury's vest
ed authority to prevent transmission of
information to any enemy either to or
from the United States will be exer
cised by the secret service". The 6ec
etary may permit this transmission
when he wishes.
Enemy Insurance Companies.
"I further authorize the secretary of
the treasury," says the president "in
his order, "to grant a license under
such terms and conditions as are not
inconsistent with law or to withhold
or refuse the same to any 'enemy' or
'ally of enemy insurance or reinsur
ance company doing business within
the United States through an agency
or branch office or otherwise, which
shall make application within 30 days
of October 6, 1917." (The date the
act was approved).
The censorship board is entrusted
with the "censorship of communica
tions or mail orders, radio or other
means of transmission passing be
tween the United States and any for
eign country from time to time speci
fied by the president, or carried by any
vessel, or other means of transporta
tion touching at any port, place or ter
ritory of the United States and bound
to or from any foreign country."
'Among the most important and far
reaching of the povisions of the ene
my act," says an official statement ex
plaining the law, "are those dealing
with the taking over by this govern
ment of the custody and control of
'enemy' property within the United
States.
Enemy Property in America.
"The poperty affected by these pro
visions is that which is located in the
United States and belonging to any
person or corporation that is an
'enemy' or 'ally of enemy' within the
definitions of the act, referred to
above, except those licensed to con
tinue doing business in the United
States. German subjects and the sub
jects of her allies resident in the Uni
ted. States do not, from the mere fact
of their nationality, fall within these
definitions.
"The act makes it the duty of every
concern within the United States issu
ing shares of stock, within 60 days af
ter the approval of the act, to report
to the alien property custodian the
names of such of its' officers, directors
and stockholders as are known to be
or reasonably believed to be 'enemies'
or 'ally of enemy' and the amount of
stock or shares owned by each.
"The act provides in addition under
severe penalties that every person in
the United States holding any property
an 'enemy' or 'ally of enemy' or for
any person who he may have reason
able cause to believe to be an 'enemy'
'or ally of enemy' must report the fact
to the alien property custodian within
30 days after the passage of the act.
So also, any person In- the United
States indebted in any way to an 'en
emy' or 'ally of enemy' or to a per
son wihom he may have reasonable
cause to believe to be an 'enemy' or
'ally of enemy' must make a similar
report.
May Take Over Property.
The alien property custodian may
require a transfer to himself of any
property held for or debt owed to an
enemy or enemy ally and any person
so holding any property, or so owing
any money, may transfer such prop
erty or pay such money to. the custo
dian with his consent.
Property or money transferred to
the alien property custodian will be
held until the end of the war and then
dealt with as congress shall direct. All
funds or ready money my be invested
in Eiberty bonds and held in such
form.
An "enemy" or "ally of enemy" do
ing business within the United States
before November 5 may apply for a
license to continue to do business in
the United States.
The license provisions of the act do
not apply to Germania, Austrians,
Turks or Bulgarians doing business in
the United States and having no busi
ness connection with interests actual
ly operating in Germany or her allied
countries. Thus thousands of alien
enemies having small business estab
lishments in the United States need
not apply for license to continue oper
it...
ASKED TO MOBILIZE
ALL NATION'S GOLD
PRESIDENT WILSON SOUNDS
CALL FEDERAL RESERVE
BOARD SUPERVISES.
;.4
TO AID IN PROSECUTING WARfUBGE PEOPLE TO ASSEMBLE
State Banks and Trust Companies'Presidept Makes Stirring Appeal for
.Are Asked to Join in System Big
Financial Transactions Make Con-S
trol of Reserve Imperative. f
Washington. President Wilson
sounded a call for the mobilization of
all the nation's gold reserves under''
the supervision of the federal reserve'
board. .
In a statement made public throughi-
the board, the President called upoiK
all eligible non-member state banks,
and trust companies to join the federal?
reserve system without further delay.i
that they may "contribute their share"?
to the consolidated gold reserves ot$
the countrv and aid more effectivelvf
"In n. vfpftrnna TrreeriiHnn an-rl aim-?!
cessful termination of the war."
Scores of such institutions have
flocked to the system within the pastyovernment to sustain their country
three weeks, among them some of the?
largest trust companies of New York, rotates is being mobilized and organiz
Philadelphia and other cities. The5ed to strike a mortal blow at autocra
movement to the federal reserve Bys-? m. defense of outraged American
tern has lacked only a final impelling f rights and of the cause of liberty,
force to assume the proportions of a H J3illions of dollars are required to
landslide. Within less than three aarm, feed and clothe the brave men
weeks, resources of such institutions4vho are going forth to fight our coun
in the system have risen $2,600,000,000. l ory's battles and to assist the nations
Liberty Loan, financing, the result- lvith whom we are making common
ant activityjn the money markets, thelause against a common foe. To sub
effect of the government's huge flnan-2 jcribe to the liberty loan is to perform
eial transactions upon the bond mar-
kets and the stock exchanges of the a
country nave made it imperative, ln -
thf. view nf the artTnintatratirm tnr
A v ' . . . .
the view of the administration, for
the federal reserve, board to control f twenty-fourth of October, as liberty
not a major fraction of the gold re-f day, and urge and advise the people
serve of the country but the entire fo assemble in their respective com
amount. immunities and oledge to one another
Financially Impregnable.
With the board inactive, daily con -
trol of the country's huge store of
gold, at present more than $3,000,000.-
000, watching every avenue through
which it may be lessened and vigilant
in its supervisiuu 01 me .couniry-s f: i .e scuciai; ui mt: iieas
banking activities, officials believe 'r.v and the immediate direction of
that the financial position of the coun- he liberty loan committees which
try may be rendered as nearly impreg- ??aye been organized by the federal
nable as human skill can make it. fc'fierve banks. The people responded
luobly to the call of the first liberty
FUEL ADMINISTRATION SAYS
THAT COAL SUPPLY IS AMPLE
communities Really in Need of. Fuel
Can Get at Government Prices.,
Washington. Communities really in
need of coal can get it at government
prces, Fuel Administrator Garfield
announced and the supply is ample to
meet immediate needs even in the
middle west, where an acute condition
arose through failure, he said, of cities
to tftate specfioally their needs. - .
Appeals should be made to the fuel
administrators in each state, Dr. Gar
field said, but where .there is no state
administrator, communication should
bo directed to the food administration
here.
ur. uarneia, wno nas just retumeaa.;
i , t .... I
from Ohio, where he discussed tneawuo set my nana and caused the seal
tituation in that state with Home J3ff the United States to be affixed.
Johnson of Cleveland, the new stater "Done in the District of Columbia,
administrator, served' warning agains11,3 12th day of October in the year
attempts of communities to confiscate our Lord, one thousand nine hun-
coai ln iransu, cases oi wmca wer?
reported from points In the middle
west.
"When local officials," he said,
have undertaken to confiscate coal
for the use of public institutions or
local communities, they not only -have
assumed to exercise powers not 'vest
ed in them, but at the best would be
required to -pay contract prices v for
the coal, instead of the lower price
fixed by - the fuel administration.
When the fuel administration acts, it
has the power to furnish coal at gov
ernment prices.
"The difficulty is the communities
do not tell us speclscally what
amounts they need, what the purpose
is, when to deliver and other specific
information. All they need to do is
to give us definite facts and coal will
he ordered shipped at once."
GERMANY EXTENDS AGE
FOR MILITARY SERVICE
Copenhagen. Germany has extend
ed military service to men 47 years
f age and is calling up those who here-.
ofore have escaped service on, ac
count of militay unfitness. The army
already included a large number above
the legal limit of 45 years, on the
ground that although nobody above
that age could be mobilized, yet no
ifequirement existed for the disehaw-e
of, a soldier reaching that age.
WILL "NVEST MONEY OF
RED MEN IN BONDS
Washington. Secretary Lane has
authorized Indian Commissioner Sells
to invest $2,000,000. of the funds of the
five civilized tribes in four per cent
liberty bonds. It is expected that the
Oklahoma Indians outside the five
tribes will subscribe" $1,000,000 mor 3,
making a total of $3,000,000 -subscribed
to the government by the Indians oi
Oklahoma. A large part of theii
money comes from oil land royalties.
WILSON NAMES DGT.
24TH LiEERTY
APPEAL COMES FROM WHITE
HOUSE FOR LIBERTY LOAN
SUBSCRIPTIONS.
People to Pledge to Support Govern
nent. Special Word to Subscrip
tion Workers.
Washington. President Wilson in
f behalf of the liberty loan issued a
proclamation setting aside October 24
as liberty day and urging the people
0f the nation to assemble on that day
in their respective communities and
"pledge to one another and to the gov-
prnment that represents them the full
ftfst TTIP.flsnrP rf financial oimnnrt
' ' ""f" -
The President's proclamation fol
lows;
" "By the President of the United
v States of America, a proclmation:
, ' "The second liberty loan gives the
people of the United Staets another
opportunty to lend theier funds to their
sat war The might of the United
service of patriotism.
- "Now, therefore. I; Woodrow Wil-
T"fc ! A. 1 1 TT 1 - S- , . J I
J", rresiaeni oi me unitea states oi
America, do annnint WfidnPRdav thp
America, do appoint Wednesday, the
, . -
ind to the government thaWepresents
phem the fullest measure of financial
support. On the afternoon of that dav
J T request that patriotic meetings be
f 3eld in every city, ,town and hamlet
rnroushout the land, under the general
poan with an over-subscription of more
than.50'per cent. Let the response to
,tihe second loan be even greater and
let tfhe amount be so large that it'
will seyve as an assurance of uneciual-
sfcd support to hearten the men who
. v-. mc 111 C UI UaillB 1U1 US.
KLet the result be so impressive and
emphatic that it will echo throughout
l-tne. empire or our enemy as an index
f what America intends to do to
inig mi. war 10 a victorious conclu-
JJsJon
t "For the purpose of participating in
fsii m, reieurauons an employes
gnf the federal government through-
iSQUt the country whose services can be
Jpared, may be excused at 12 o'clock,
Jtyednesday. the twenty-fourth of Oc-
l&ber.
- r T . . n - !
m witness wnereor, i nave here-
au evemeen ana oi tne mae-
naence or tne United States of
Tne one hunclred and forty
cjigned) "WOODROW WILSON. "
's'By the President.
Signed)
'ROBERT LANSING.
"Secretary of State."
GRADING WITH THE ENEMEY ACT
tM IS PUT INTO OPERATinw
proclamation by President Confers
I-1 Authority to Officials.
U Washington. Broad war powers con
ferred upon the president by the trad-jjig-Vfith-the-enemy
act were put into
Operation under an executive order is
sued delegating the authority under
the elaw to various government de
partments and to a newly created war
trade eboard.
I The board is composed of the mem
bers of the exports administrative
poard, which it will replace with the
addition of a representative of the
treasury department. Tt will continue
to license exports.
f. Trading or commercial dealings of
any nature with an enemy company
-or agent in this country or abroad is
forbidden, except under license of the
war board, which also Is authorized
to license enemy or "ally of enemy"
companies doing business in the Unl
Kted States, excepting insurance com
panles, whose supervision is entrust-
to the treasury.
? Censorship of mails, cables, radio,
Pji ad telegraph messages passing out of
fihe United States- Is placed in the
aands Of a censorship board consisting
of representatives of the war, navy
'aaia cositoffice deDartmnt. the war
hboard trade and of ftreorge Creel,
chairman of the ecommlttee on public
information.
tf To the treasury is assigned the regu
lation of transactions in foreeign ex
change and exportation of gold or sil
ver coin under license, the enforce
ment of the elaw's provision against
transmission to the enemy of infor
mation by any other means.
MAY HASTErCALL
DAY SECOND DRAFT ARMY
i
DATE WILL LIKELY BE FIXED
SOME TIME IN DECEMBER OR
JANUARY.
BIG DEFICIENCY IS EXISTING
National Army Divisions Formed Out
of Firt Increment Are All Short of
Quota Room for Regiment at Each
Cantonment.
Washington. Discussion of the ad
visability of expediting, the call for
the second increment of the draft army
! now is in progress at the war.depart-
i ment and it appears likely that the
date may be fixed for some time in De-
cember or January,
j Mobilization of the first increment
: of 687,000 men is now ar enough ad
j vanced to show clearly that there will
i be a big deficiency for the 17 national
! army divisions. More than 250,000 of
the first increment are still to be as
sembled, but it already is evident that
there will be available at the 16 can
tonments quarters for an additional
regiment at each post and at some
for a full brigade of two regiments.
The strength of the new regimental
organization is 3,600 men. With a
regiment lacking at each cantonment,
this alone would mean a shortage' of
nearly 50,000 men. In addition, there
has been authorized a separate divi
sion of negro troops, which means
nearly 30,000 men withdrawn from the
original number assigned to the 16
cantonments.
The shortage is due partially to the
necessity of tak'ng out of the national
! ftrmv mfin to flll UD national guard di-
; visions. Two complete national divi
i . . . i l
sions of southern troops have been
absorbed in this way. The remnants
of three other southern national army
divisions will be consolidated to form
a single uivisiuuai unit auu mo dui-
; n1 - e fT.nWl thpr n-n, will be
a single divisional unit, and the sur-
,;sent soiltn t0 make up the missir.g
tUVisions
I rrafts on the national armv forces
: mugt be made to fill up tne "enlisted
1 ,
meidcai corps and 'the service battal
ions needed behind the fighting lines
abroad. Eventually there will be
250,000 men in the last named service
aloi.e, and the aviation and the medi
cal service will take nearly as many
more though not all of them will be
taken from the national army.
HAIG'S ATTACK CHECKED
BY DELUDE OF RAIN
Already Swampy Region Converted
Into Quagmire.
For the first time since he started
his series of attacks against the Ger
man positions in Flanders, Field Mar
shal Haig has had to cease an opera
tion before all the objectives were at-
i talnfid. It was not the (German guns.
! however, that stopped the British. It
j was a more than usually heavy rainfall
i which started during the battle and
j turned the already swamp region over
which the men were supposed to pass
! into a veritable quagmire from which
1 mnM not nr track themselves for
1 a forward move.
i Tb.e drive, as has been customry
! in Haig's strategy was started In the
! eariy hours of Friday morning and
i extended from near the Houtholst
. wnrvl to below the YDres-Menin road.
: At several points the British troops
j succeeded in gaining ground over
i fronts ranging up to a thousand yards
! but here the rain intevened and the
i fighting ceased for the day.
, The struggle was particularly bit
J te Tto the north of Poelcapelle and
! around Passachendaele. In the lat-
ter region the Germans apparently
I have massed their strongest array of
troops, hopeful of heing able to stay
a further press forward by the British
j toward the Ostend-Lille railroad. '
The Germans w"ere expecting the
I battle for several hours prior to the
j- signal for the British to attack they
; laid down a heavy barrage fire all
along the line, interspersing the rain
i of steel and explosive sheels with as
1 phyxiating gas bombs.
EAST ST. LOUIS MOB
MEMBERS CONVICTED
Belleville. 111. Herbert Wood and
Leo Keane were found guilty of the
murder of Scott Clark, a negro, who
died as a result of injuries received
In the recent race riots in East St.
Louis, and the penalty was fixed at
14 years' imprisonment. Wood and
Keene were the first white men to be
tried on charges growing out of the
race riot. Ten negroea were found
guilty last Sunday, and each was
given sentences of 14 years.
POLITICAL SPEAKERS
MAY VISIT CAMPS
Washington. Citizen soldiers in the
national army ' training cantonments
will riot have to forego the privilege
of attending political meetings this
fall. Secretary Baker announced that
he had approved an order by Maj.
Gen. J. Franklin Bell, commanding at
Camp Upton, N. T., permitting politi
cal gatherings in camp under proper
regulations, and that th l ruling would
apply to all the camps.
UNUSUAL DEMAND
SESS
COAL PRODUCERS HAVE DONE
THEIR BEST, GEOLOGICAL
SURVEY ANNOUNCES.
AN ONPRECIDENTEE DEMAND
Die to Increase in Manufacturing
and Transportation MCtivity. Coat
Being Mined at Rate Never Equaled
Before.
Washington. Existence of a general
coal shortage was admitted by the geo
logical survey, which- attributes the
situation, not to the failure of produc
ers, to do their best, but to the unprec
edented demand.
"The tremendous increase in manu1
facturing and transportation activity
this year," said a statement issued
today, "has created a demand for soft
coal in excess of any in the past, an
increase in demand that is difficult
to measure in terms of tons, but that
is certainly more than the 10 per cent
by which the production has increased,
To meet this demand the operators
have been mining coal at a rate never
before equalled."
A serious coal shortage exists$ in
Ohio, fuel administration officials were
told by a delegation of consumers
headed by Attorney General McGhee,
who came to Washington to protest
against lifting the embargo on coal
shipments to Canada. of 200 towns
in the state reporting more than 100,
the delegation declared, are entirely
without coal and are unable to obtain
supplies because virtually all coal min
ed in the state Is going thruogh lake
ports in the northwest and Canada.
The people of thg state, spokesman
for the delegation said, are suffering
and cannot wait until tne northwest
is supplied under the fuel administra
tion's priority order before laying in
winter stocks. Mayors of some towns
have seized carloads of coal en voute
to the lakes and have apportioned it
among the inhabitants. Doctor Garfield
assured the delegation that Ohio
would be adequately supplied under a
plan to be announced within a few
days.
The fuel administration's first move
toward a general apportionment of
coal was made in an order directing
that mines along the Pennsylvania
system supply under a pro rata plan
all the coal the road needs. Later
other roads will be supplied in the
same fashion and, the final intention is
to distribute coal among domestic
users and industries where it is most
essential.
Coal prices in some districts of
Tennessee, Kentucky, and Virginia
were raised by the fuel administra
tion after it was shown operators
could not mine coal at a profit at the
prices fixed recently.
LEGAL OBSTACLE OF AERIAL
PROGRAM IS CLEARED AWAY
Washington. Legal approval has
been given the agreement between the
aircraft production board and the Air
plane , Manufacturers' Association,
clearing away a possible serious ob
stacle to the government $640,000,000
aircraft program. Attorney General
Gregory has held that the patent pool
ing plan to prevent patent litigation
does not violate the Sherman anti
trust law.
The effect of the opinion is to ratify
all the work done Dy the aircraft pro
duction board and the advisory com
mittee for aeronautics and insure the
employment of the entire airplane pro
ducing capacity of the country on the
big job. Another result will be to
halve the costs of machines to The
government.
Details of the pooling agreement
have not been made public by the gov
ernment, atlhough much has been
printed about it. In general terms, it
provides for the pooling in the Air
plane Manufacturers' Association of
the basic aeroplane patents known as
the Wright and Curtis patents atd
also of all other airplane patents now
held or hereafter developed by mem
bers of the association.
APPROPRIATION FOR
RELIEF OF BELGIANS
Washington. The American Red
Cross war council appropriated $589 -930
for the relief of Belgians not un
der German rule, the work to be car
ried out by the new Red Cross depart
ment for Belgian organized under the
Red Cross commission to France. CoTr
prehensive plans for relief work have
been worked out as the result of con
ferences between King Albert anrt
Major Grayson M. P. Murphy, heai
of the commission to France.
STANDARDIZED MOTOR
MOTOR TRUCK ACCOMPLISHED
Washington. Details of the devel
opment of the government new motor
truck, announced by the council of
national defense reveal an accomplish
ment that officials declare is secoiid
only to the production of the liberty
airplane motor. Two of the trucks
have just been completed and are now
on their way to Washington for inspec
tion at the war department. They are
of three tons capacity.